The tariff tit-for-tat between the U.S. and China escalated again Wednesday, with President Donald Trump saying that he is immediately raising the tariffs on Chinese goods to 125% over Beijing’s “lack of respect” toward America, while pausing and lowering reciprocal tariffs on other countries.
“At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable,” Trump posted on his Truth Social media platform.
Trump wrote that more than 75 other countries have called U.S. representatives to “negotiate a solution” to the subjects relative to trade, trade barriers, tariffs, currency manipulation, and non-monetary tariffs. He added that these countries, “at my strong suggestion,” have not retaliated in any way against America.
Trump wrote that his reciprocal tariffs on other countries would be paused for 90 days, during which the tariff rate would be 10%.
His move sent the stock market into rebound mode with the Dow Jones Industrial Average adding over 2,962 points, the biggest one day point gain ever, while the Nasdaq Composite added 12% and the S&P 500 over 9%.
Trump’s move comes just hours after China announced it was increasing